Kakao CEO Young-Jun Ryu voluntarily resigns

Ryoo Young-joon, the new CEO of Kakao, who was outraged by Kakao Pay’s mass sale of treasury stock, resigned on the 10th.

The chemical fiber food union’s Kakao branch issued a statement on the same day, saying, “We positively evaluate that the legitimate requests of members have been discussed and accepted.”

Former CEO-nominee Ryu Young-joon on the 10th of last month disposed of 230,000 shares of stock options at once, causing a controversy over ‘moral hazard’. On the day Kakao Pay was incorporated into the KOSPI 200 index, eight executives including Ryu sold a large amount of treasury stock and made a profit of 46.9 billion won.

The branch issued a statement on the 5th and demanded the resignation of former nominee Ryu, saying, “KakaoPay was established as a spin-off from Kakao in 2017. . Former nominee Ryu issued an official apology on the 5th, when the branch issued a statement, but the backlash from the staff continued and he ultimately decided to resign.

Seo Seung-wook, chairman of the branch, said, “The past process of forcing the appointment of former nominee Ryu Young-joon despite the block deal situation is ultimately Kakao’s ESG moratorium declaration,” he said.

In order to prevent similar cases in the future, the branch plans to request the management to establish preventive measures, such as establishing a regulation to restrict the sale of executives for a certain period of time when listed, and strengthening the internal inspection process to strengthen the duty of care for good managers.

Reference-www.labortoday.co.kr

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